GREEN BAY, Wis. — High-profile athletes raise millions of dollars each year for charities in Wisconsin, but tax records show that some struggle to manage the money properly — incorrectly reporting expenses or failing to file returns.
Gannett Wisconsin Media examined IRS records (http://gbpg.net/I1b4IQ ) for 51 active or recently closed charities tied to Wisconsin athletes or teams. It found that six led by former Packers (http://gbpg.net/1alWPsl ) have had their tax-exempt status revoked in recent years for failing to file returns. Another charity has not filed a return since 2002, and another has disbanded.
Jon McGlocklin, a former Milwaukee Bucks player who co-founded Midwest Athletes Against Childhood Cancer, one of the state's largest athlete charities, said running a charity requires the same skills as operating a business.
"You've got to have full-time attention, full-time effort and the right people in the right seats," McGlocklin said.
LeRoy Butler is among the former Green Bay players who have had their charities' tax-exempt status revoked for failing to file returns three years in a row. The charity he formed in 2009 has since filed back returns and is trying to regain its tax-exempt status. But he also has a foundation that has not filed a return since 2002.
Butler said he no longer plans to run his own charity because it's more work than he expected.
"Sometimes guys feel obligated to help the people who helped them and they try to start a foundation, but once they get into it and see the work that needs to be put in — as far as filing the 990s and talking to the CPAs — they ... don't want anything to do with it," he said.
Four charities reported on in the Gannett Wisconsin Media investigation raised more than $1 million, according to the IRS. Those included McGlocklin's group, team charities for the Milwaukee Brewers and Green Bay Packers, and Rawhide, a charity co-founded by former Packer Bart Starr.
Many athletes' charities didn't raise as much money. Twenty-nine brought in less than $250,000, and 16 reported revenues of less than $50,000, according to their latest tax filings.
